Coinbase Halts Trading for Enjin Coin (ENJ), Ensuring Fund Withdrawals Remain Open

• Coinbase, one of the leading cryptocurrency exchanges, has revealed the cessation of trading for Metal DAO (MTL) and Enjin Coin (ENJ) on its platform.
• Despite this suspension, users retain access to their funds and can withdraw them anytime.
• Enjin Coin trading was halted as part of Coinbase’s routine asset evaluation process to ensure compliance with its listing criteria.

Coinbase halts MTL and ENJ trading; user funds remain secure and withdrawable.

Coinbase Ceases Trading for Metal DAO and Enjin Coin

Coinbase has taken a significant step by disabling the trading of Metal DAO (MTL) and Enjin Coin (ENJ) across its range of platforms. This technological move ensures users can no longer execute trades involving MTL and ENJ on Coinbase, although their funds will continue to be safely accessible. This decision is part of Coinbase’s frequent evaluations conducted to ascertain that all listed assets satisfy its rigorous standards.

The Findings from Coinbase’s Recent Asset Review

As part of its continuous monitoring and evaluation processes, Coinbase determined that Enjin Coin no longer met the criteria required to be traded on its platform. Consequently, trading of ENJ has been suspended on all Coinbase services including Simple and Advanced Trade, Coinbase Exchange, Prime, and Native DEX, effective from June 14, 2024. Metal DAO’s trading was similarly halted following the strategic realignment announced through MIP-00 for transitioning MTL to Metal L2, operating on the Optimism Superchain.

Strategic Implications for Metal DAO Token Holders

Metal DAO token holders have been advised by Coinbase regarding the implications of the suspension. To be eligible for the MTL V2 token airdrop, holders must move their tokens to a compatible self-custodial wallet by June 23. This step is crucial for ensuring access to the new V2 tokens, as Coinbase will not support the airdrop service directly. Such transitions align with broader strategies in blockchain asset management and user empowerment on decentralized platforms.

Market Reactions and Price Volatility

The announcement had immediate repercussions in the market. Both Metal DAO and Enjin Coin experienced a noticeable decline in their market values within 24 hours of the trading suspension news. Specifically, Enjin Coin saw a decrease of 3.21%, bringing its price to $0.2196, while Metal DAO’s price fell by 4.31%, settling at $1.25. Such price reactions highlight the market’s sensitivity to exchange decisions and the broader implications for asset liquidity and investor sentiment.

Conclusion

Coinbase’s decision to pause trading for Metal DAO and Enjin Coin underscores its commitment to maintaining a robust and compliant trading environment. While this action has led to temporary market fluctuations, it aims to uphold the platform’s integrity and provide secure trading avenues for users. Moving forward, holders of these tokens need to align their strategies with evolving market practices and regulatory advisories.